Gold Rises Amid Fed Rate Hike Expectations

Spot gold rose by 0.7% to $4,324.36 an ounce on Wednesday as a weaker US dollar offset the prospect of a Federal Reserve rate hike.

The Fed's decision was due later in the day, with traders pricing a 93% chance of at least a 25 basis point increase according to the CME FedWatch Tool.

Nikos Tzabouras, senior market analyst at Tradu.com, noted that bullion firmed on easing dollar strength and cooler oil prices, but warned that the near-term technical bias remains to the downside until the Fed decides.